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Motley Fool Money

Motley Fool Money: 09.19.2014

Motley Fool Money

The Motley Fool

Business, Investing

4.43K Ratings

🗓️ 19 September 2014

⏱️ 39 minutes

🧾️ Download transcript

Summary

Alibaba works its magic on Wall Street. FedEx delivers. And Oracle's CEO steps down. Our analysts discuss those stories and share three stocks on their radar. Plus, Facebook Effect author David Kirkpatrick talks about the future of Facebook.

Transcript

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0:00.0

Everybody needs money. That's why they call it money.

0:07.0

From full global headquarters, this is Motley Fool Money.

0:19.0

It's the Motley Fool Money Radio Show. I'm Chris Hill joining me in studio this week

0:23.0

for Motley Fool Income Investor James Early from Motley Fool Pro and Motley Fool Options

0:27.5

Jeff Fisher and for Million Dollar Portfolio Ron Gross. Good to see you as always gentlemen.

0:31.5

Good to see you Chris. We have got Bellweather Stocks, retail stocks and a merger brewing in the beer industry.

0:37.5

We will say Adios to one of the most successful business leaders of the last 40 years and as always,

0:42.5

we're giving an inside look at the stocks on our radar but we begin with what is now the biggest IPO in history.

0:49.5

Ali Baba, the e-commerce giant in China, went public on Friday, shares rose more than 45% in just the first couple of hours of trading and Jeff Fisher.

1:00.5

Market cap of over 240 billion already.

1:04.5

Not a bad start. There are a lot of pieces to this story. Let's start with the stock. Do you want any part of this stock?

1:11.5

Today, no. I do not. Long term, probably not. And you want.

1:16.5

I thought he was going the other way. Why do we differentiate it?

1:21.5

Here's why I know today. It's starting at $245 billion or so and it's pretty much an unknown as far as how the company will be run as a public company.

1:32.5

Let's not even mention that it's China, so there are all kinds of risks and unknowns there.

1:36.5

But why I don't want to buy an IPO at this sort of valuation? Maybe it could double in the coming years,

1:42.5

but so could a lot of things with, in my opinion, much less risk.

1:46.5

So this is one of the largest companies already out there. Google is by comparison $500 billion,

1:53.5

which is, or so, Google is now larger than Microsoft, by the way.

1:57.5

Yeah, absolutely.

1:58.5

Maybe Google's $400 billion, one or the other. Apple now has $600 billion, new benchmark for that company.

2:05.5

Anyway, I don't want to pay this type of price for a company that has no track record being public.

...

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